We present a model in which workers have to be educated to get employed and firms have to innovate in order to increase productivity. Education as well as innovation and production require skilled labour as inputs. This and the fact that learning opportunities differ across workers determine...

In this paper we look at the effects of immigration and trade with Eastern Europe on unemployment in Austria. Using individual data over the period 1989-92 of male blue-collar workers employed in the Austrian manufacturing sector, we decompose possible detrimental impacts in unemployment entry...